Magazine: Real Life was probably the best album of it's era yet most people under 30 won't have listened to it. Their second album was very good as well.
Tom Waits: If you haven't given him a serious listen then you are really missing out. One of the greatest songwriters and performers of our era. Start with Rain Dogs and see how you go.
The The: Again largely overlooked by people who weren't around at the time. His second album (or third now that Burning Blue Soul has had a full release), Infected is his best known work, but for my money Soul Mining is his masterpiece. Dark, soulful, with a slow burning social conscience and mesmeric electronic beats. Strongly reminiscent of England in the early 80's before greed was good. And don't miss the Jools Holland piano solo.